Monday, February 28, 2011
Business constantly need to handle their biggest fear - change. While businesses try to keep the change under control, they are exposed to change every day. Some changes are slow and manageable while the others are quick and even unthought-of of! Handling changes is a core task of any manager today.
Handling change necessitates that there has to be a constant urge to innovate. To move beyond what is seen, anticipate the next change and act to handling the change. In case you are the first to initiate a change - be it in customer trends, products or even process you definitely create an edge over your competition. Winning over the competition in the business world is critical - so companies need to work at constantly and steadily innovating their business activities and functions.
It is innovation that has allowed Dell cater to its global clients with speed. It is innovation that has lead Apple to move from a cash crunch to a leader in the Smartphone world. It is innovation that has historically allowed many companies stand the test of time. Companies (in fact even states) which limit their innovation have slowly degraded and disappeared.
Decisions being made in this changing business landscape and handling it with innovations to create a competitive edge over your rival in business are an essential quality for mangers today.
Read in Kannada: http://somanagement.blogspot.com/2011/02/blog-post_27.html
Wednesday, February 23, 2011
- I use the money I already have, and enhance the "investment" by creating a steady stream of profit from the operations of the company.
- I borrow the amount I require from friends/acquaintance and get that invested into business and then share the profit I earn with my friends
- I borrow a certain amount from the bank and then invest that into business and give a interest to the bank and keep the remaining profit to myself
- I borrow from a lot of people, give them a promise of sharing the profit, invest that entire amount into business and then when the profit is earned share it with the people who have my promise note.
Tuesday, February 22, 2011
Monday, February 21, 2011
Sunday, February 20, 2011
Thursday, February 17, 2011
Having defined management as a complicated decision making process, we went on to see how a business model is the critical success ingredient when one tries to match the demand and supply gap. Every Business function plays a very critical role in the success of a business model, a thorough understanding of the primary elements of the factors of production is key in the decision making attempt by managers.
I haven’t yet dealt with some topics that many MBA students begin their study with - a basic course on economics, statistics, accountancy etc. I have found that many students of management specialize too quickly in a particular area, but forget to get the general picture of the working which is essential for a good decision making. We would definitely explore these components of management, but I would approach it from a management application - decision making perspective than just a tutorial perspective.
My interactions with most of you have encouraged me to keep these blogs applications focused. Thank you all for getting back to me on the blog posts. Looking forward to share more what I have learnt. Lets meet next week - Sachi
Read in Kannada:http://somanagement.blogspot.com/2011/02/blog-post_16.html
Wednesday, February 16, 2011
- how would the business model generate revenue for the company?
- how quickly would it allow the companies to generate revenue?
Tuesday, February 15, 2011
Monday, February 14, 2011
Factors of Production are any commodity or service used in the production of another goods and service. The primary amongst the factors of production are - Land, Labor and Capital Goods.
Land refers to the natural resources used in the creation of the product, and an economic rent is paid for it, these are generally reproducible. Labor refers to the human effort needed to produce; this is generally compensated in wages. Capital goods are the human-made goods or means of production (including machinery, building and so forth) used in the production of other goods, paid in interest.
These primary factors are ones that do not get transformed by the production process nor do they become a part of the final product, they merely facilitate the process - this could help decide whether one is a primary factor or a secondary one.
Of these primary resources, Capital goods and labor are active factors, while land is a passive one - this distinction is based on the boundary and mobility.
One important decision dilemma that comes across in these primary active factors it the substitution of one for another - Given that Labor operates Capital goods to produce, the manager needs to decide how much labor would be operating on the capital, or how much capital would substitute the labor. This could be expressed in through a ratio - that of labor per unit capital.
Neither too much of labor per unit capital, nor too much capital per unit labor is acceptable. Both could be detrimental to the business, the key lies in the decision making process. This is a real trade off - and would be a decision taking into the long term strategy, government regulation, Unions etc - in short all the factors that might influence the operations of the business. There are no clear answers for this balance; whatever the decision, it has to be with the best interest of the company and all the stakeholders in mind.
Read in kannada: http://somanagement.blogspot.com/2011/02/blog-post_14.html
Friday, February 11, 2011
- ವಿಕ್ರಯ ಹಾಗು ಸೇವೆ [Sales and Service]: ಗ್ರಾಹಕರಿಗೆ ಅತೀ ಸಾಮಿಪ್ಯದಲ್ಲಿರುವ ವಿಭಾಗ. ಇದು ಪ್ರತಿ ವಾಣಿಜ್ಯ ಸಂಸ್ಥೆಯ ಚಾಲನೆಗೆ ಬಹುಮುಖ್ಯವಾದುದು.
- ಮಾರಟಗಾರಿಕೆ [Marketing]: ಸಂಸ್ಥೆ ಹಾಗು ಸಂಸ್ಥೆಯ ಉತ್ಪತ್ತಿಯನ್ನು ಗ್ರಾಹಕರಿಗೆ ಮನದಟ್ಟು ಮಾಡುವುದು ಇದರ ಪ್ರಮುಖ ಧ್ಯೇಯ.
- ಮಾನವ ಸಂಪನ್ಮೂಲ ಹಾಗು ಕಾರ್ಯಭಾರ[Human Resource & Admin]: ಸಂಸ್ಥೆಯ ನಿಜಸ್ವತ್ತು ಅಲ್ಲಿ ಕೆಲಸ ಮಾಡುವ ಉದ್ಯೋಗಿಗಳು; ದಿನನಿತ್ಯದ ಕಾರ್ಯಗಳ ವಹಿವಾಟುಗಳನ್ನೂ ನೋಡಿಕೊಳ್ಳುವುದು..
ಪ್ರತೀ ಸಂಸ್ಥೆಯಲ್ಲೂ ಇಂತಹ ವ್ಯವಹರಂಗಳಿರುತ್ತವೆ , ಆದರೆ ಆ ಸಂಸ್ಥೆಯ ಪ್ರಮುಖವಾದ ಕಾರ್ಯಕ್ಷೇತ್ರದ ಮೇಲೆ, ಇವುಗಳಲ್ಲಿ ಯಾವುದು ಮತ್ತೊಂದಕ್ಕಿಂತ ಹೆಚ್ಚು ಮುಖ್ಯಯೆನ್ನುವುದು ನಿರ್ಧಾರವಾಗುತ್ತದೆ. ಉದಾಹರಣೆಗೆ:
- Sales and Service - these are customer facing function and for the driving edge of the company
- Marketing - this is the showcase of your company & its products(is generally clubbed with sales)
- Human Resource & Administration - the crucial internal people function to ensure satisfaction and get them excited about work
- Research & Development - Product improvement and innovation is a key factor to sustain in the ever changing environment, also includes product design based on market research inputs.
- Operations/Production - Involves the process of creation of the product including the procurement, and product development form the parts.
- Information Technology - Essential aid to smooth operations ensures improving the internal functioning of business
- Accounting and Finance - Ensures that the company’s financial records are maintained and products are funded aptly.